There's more than meets the eye for property investors in Brunswick. This in-demand suburb deserves a look thanks to its burgeoning apartment and unit market, and the outstanding value such properties can offer.
We've had a closer look at the minutiae of the unit and apartment market so that you don't miss any opportunities.
Values still rising
There has been considerable talk about an oversupply of apartments and units in Melbourne and rising concern about declining values. That's not the case in Brunswick. According to Your Investment Property the average unit/apartment value here increased by close to 3 per cent over the last year.
Growth has slowed down over the winter quarter, however that's to be expected during the chilly months and it's likely property values will start increasing again during spring. Plus growth is likely to continue far into the future thanks to Brunswick's desirability as an area.
Pockets of value can be found
The average detached home in Brunswick sells for $1.19 million, while the average unit is far more affordable at $509,000, according to Residex data. If the numbers still don't add up for you at that price there are pockets of affordability throughout the suburb that offer even better value as property investments.
For example, the median value of units on Garnet Street is just $384,465, while the median on Collier Crescent is under $400,000, Residex data shows. At these prices your rental yield may be far above the average for the suburb.
High yields for Melbourne and quality stock
The average apartment in Brunswick rents for $440 a week and boasts a rental return of around 4 per cent. For Melbourne, a city with high property values and traditionally low rental yields, that's a solid return. When you also consider the potential for capital gains in such a desirable suburb, investing in Brunswick property starts to look like a brilliant idea.
If you're looking for a higher return than 4 per cent you shouldn't write Brunswick off. Speak to a local expert who knows the market and you may find pockets of affordability and value throughout the city that could promise far higher rental returns. Get in touch with the team at Ray White Brunswick today for help getting started.